The Central Bank Of Malaysia

The banking industry has over the years evolved from simple to large and complex organization. They have grown from one street building into having multiple branches some of which are international. Their clients range from individual and institutions to governments and other banks. Banks do not manufacture physical things. Their work is simply services for money (Koch & MacDonald 2010). Such services include storing, lending and managing money. All people and institutions, as well as governments, need money to operate accordingly.

Andrew Bailey (2013) “The future of UK banking - challenges ahead for promoting a stable sector”. Bank of England [online]. Available from:

Alexander Hamilton proposed using a banking system in America in 1781 after seeing how beneficial they were in other nations for advancing trade. In 1791, First Bank of the United States became the first commercial bank of the United States in Philadelphia, Pennsylvania. By the 1900’s, there were almost 170 banks per every million people in the United States, but because of this, there was a lot of debate about banking and the regulations needed and the fears that people had about the amount of control it was giving the government. This paper will be starting from the Great Depression and talk its way into the current situation of the United States banking regulations and why there is a debate on if there should be more or fewer regulations on banking.

During the twenty years it was in place the First Bank did change the economic downturn of the country after the war. The First Bank had branches in eight influential port cities and had a wide geographic existence. It influenced the lending policies of the state banks’ lending practices. The First Bank was like the state banks in that it made business loans, accepted deposits, and issued notes that circulated as currency and were convertible into gold or silver. But it differed from the state banks because its

A handful of banks operated in America during the colonial period, but these establishments were closed by the British government in the 1740’s. In order to acquire capital, farmers and business people relied on complicated chains of merchant credit. As the colonial economy diversified, the need for a banking system became paramount. The first

Malaysia’s Exports since 2000 till present. Its exports greatly decreased after the 2008 Financial Crises before rebounding.

Banks have been around since hard money came to be. This was in the Ancient Empires of Greece, Egypt and Rome. However, banks at that time weren’t as the ones we know today because first, banks were only used by wealthy people. Then the term banks comes from those wealthy people storing their coins in their temples where they trusted the noble priests that lived there.

The next stage in the growth of banking was the goldsmith. The business of goldsmith was such that he had to take special precautions against theft of gold and jewellery. If he seemed to be an honest person, merchants in the neighborhood started leaving their bullion, money and ornaments in his care.As this practice spread, the goldsmith started charging something for taking care of the money and bullion. As evidence for receiving valuables, he issued a receipt. Since gold and silver coins had no marks of the owner, the goldsmith started lending them. As the goldsmith was prepared to give the holder of the receipt an equal amount of money on demand, the goldsmith receipts acted as cheques, medium of exchange and a means of

Banking can be defined as a process through which the finances of a country is controlled and created. These finances are loaned to gain profit through interest. In recent times banks perform varied functions like ATM cards, safeguarding of valuable things, providing lockers, credit cards and online banking. Banks and banking Katy and in other American cities has helped the world economy. The simple method of safeguarding money and lending it to the borrowers leads to a productive flow of money. This process has helped in the development of economies of varied countries.

Continuous rapid economic growth has raised Malaysia from an agricultural and commodity-based low-income economy to a successful middle-income economy. As a mixed economy, Malaysia has elements of a free market economy nevertheless with intervention government. Malaysia's economic activity consist of a mixture of sectors whereas mixed of capitalism and socialism The strong economic performance has helped improve the quality of life for Malaysians and supported advances in education, health, infrastructure, housing and public amenities and others.

The cash supply in eighteenth century provincial America comprised of an assortment of remote monetary forms and coins. Paper cash — the Continental, American cash surprisingly — was presented amid the progressive period, just to be debased rapidly by huge overprinting. After autonomy, the quantity of state-contracted banks became significant. Some expected that these state banks would issue excessively numerous bank notes (promissory notes that could be reclaimed for gold or silver) and revive expansion. Keeping in mind the end goal to counter this dread, the First Bank of the United States was set up in 1791.( Central Bank Intervention, 2016)

Energy policies in Malaysia are controlled by the government and the main source of energy in Malaysia based on oil. In 1970, Malaysia government need to control the search another source such as coal or natural gas due to energy crisis and. The oil becomes falling significantly and the government need to build more infrastructures to increase energy source and deal with air pollution and climate change. To manage more demand in electricity, National Electricity Board (NEB) was founded. Oil was discover at the Sarawak and Peninsular Malaysia shore and founded the National Petroleum Policy with the objective to ensure efficient, secure and environment sustainable supplies of energy and it was further improved over the years. Malaysia founded PETRONAS and Tenaga Nasional

This sizeable productivity showcased by Malaysia assures further growth and continuation of economic stability. Both nations have also reduced interest rates through monetary policy (Global Rates, 2017). This will likely lead to increased borrowing, investment and expenditure; stimulating the economy (Boundless, 2016). Malaysia is, hence, a more stable economy, with lower current and long-term risks involved for businesses looking to enter the market.

The service standards of the public sector banks began to decline. Their profitability came down and the efficiency of the staff became suspect. Non-performing assets of these banks began to rise. The wheel of time had turned a full circle by early nineties and the government after the introduction of structural and economic reforms in the financial sector, allowed the setting up of new banks in the private sector.

In Australia, the role of monetary authority is split among three independent statutory agencies with specific responsibilities in the financial markets: 1.The Reserve Bank of Australia (RBA), 2. The Australian Securities and Investments Commission (ASIC), 3. The Australian Prudential Regulation Authority (APRA). And the three agencies are coordinated by the Council of Financial Regulators (CFR).